Small energy supplier Green could be the next firm to go under amid rising costs as it is reportedly lining up insolvency advisors.
It comes as the government decided against stepping in to help buoy struggling firms that are failing to keep up with surging prices for electricity and gas.
Green’s collapse, which could happen within days, could see up to 250,000 customers lose their supplier and close to 200 people lose their jobs, Sky News first reported.
The small energy firm is reportedly working with Alvarez & Marsal (A&M) to coordinate plans to use Ofgem’s Supplier of Last Resort vehicle.
The supplier’s boss Peter McGirr had previously warned that Green would not be able to last more than three months without government aid.
The government is looking to extend state-backed loans to larger energy companies to trim down some of their costs in taking on customers from collapsed rivals.
Green’s potential collapse would follow fellow supplier’s Utility Point and People’s Energy – but it is expected that more are to come.
City A.M. has contacted Green for comment.